Hashes

Until now, we have explored the concepts that make up a transaction and how you can send transactions yourself. One of these concepts is that transactions are signed. When a transaction is signed, it generates a hash or digital signature that is based on the content of the transaction. The hash verifies that the data sent in a transaction is not compromised or has not changed during its travel.

A hash is calculated by executing a hash function, which is called hashing. Before I go into the detail of the hash functions that are used within different blockchains, I'm first going to take you through the concept of such functions. A hash function takes any input data, and produces an output, which, based on the algorithm used, has a different fixed length.

Note

Dissecting a hash A hash has a fixed length, which, in terms of computer data, is represented in bits. A bit is the smallest possible data type, and it can be either a 0 or a 1. Think of it as a light bulb, where the light bulb can...